Dow Jones heads north at open in New York but tech shares lag as bond yields rise

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9.56am : Proactive North America headlines:

Gevo awarded US patent to convert ethanol and bio-based alcohols into drop-in diesel and jet fuel products

Aurania Resources intersects “significant” silver-zinc mineralization at its Lost Cities-Cutucu project in Ecuador

Klondike Gold says drilling in Yukon has extended Lone Star Zone mineralization 250 metres east

New Oroperu Resources receives surface land rights on the Tres Cruces property in Peru ahead of First Light Capital merger

PowerTap completes engineering design of Gen3 hydrogen dispensing unit; starts to prepare for manufacturing a prototype

MedX Health and partner to run pilot program for its DermSecure Screening Platform in Italy

LeanLife Health (CSE:LLP) announces appointment of Anis Barakat as its chief executive officer, replacing Stan Lis

Fobi AI (TSX-V:FOBI, OTCQB:FOBIF) inks US$3.2M deal to acquire online coupon platform Qples

GoviEx releases positive results from a drill campaign at its Mutanga project in Zambia

BetterLife Pharma applies for patent protection for new 2-bromo-LSD compositions, including TD-0148A

PyroGenesis Canada says new US patent issued for plasma torch system; new CFO appointed

Trust Stamp (OTCQX:IDAID, EURONEXT:AIID) wins $3.9M contract from the US Department of Homeland Security

Else Nutrition develops wide range of Canada-compliant products which are set to launch in the first quarter of 2022

9.45am: Wall Street mixed at open

US shares opened Monday mixed but the Dow Jones rises as bond yields head north and the August reading for durable goods came in well above economists’ expectations.

The Dow Jones Industrial Average added over 122 at 34,920, while the S&P 500 dropped 15 points at 4,440.

The tech laden Nasdaq dropped over 154 at 14,893 as the Likes of Nike and Apple dropped.

In the US, the 10-year Treasury yield increased, briefly to more than 1.5% on Monday – the highest level since June this year and up from 1.30% at the end of August.

In August orders for durable goods rose 1.8%, boosted by a rebound in the civilian aircraft, while business investment also rose, according to official data. Economists has expected a 0.6% increase.

6.50am: US stocks seen higher

US blue-chips looked set for gains at the start of a new week as oil prices hit their highest levels in nearly three years and as fears about Chinese property giant Evergrande Group’s debt problems waned.

Futures for the blue-chip Dow Jones Industrial Average were up 0.3%, while those for the broader S&P 500 index added 0.1%, although Nasdaq-100 futures fell 0.2%.

Chris Beauchamp, chief market analyst at IG, a global leader in online trading commented: “China worries seem to have evaporated, or at least have dimmed in importance, and with the US once again talking about an infrastructure bill we seem to have a welcome return to some of the old themes that proved so fruitful for equity markets in the first half of the year.”

“US futures point towards a better start to the week too, as the clouds that dogged markets last week disappear to be replaced by a new wave of optimism,” he added.

Stocks were volatile last week as Evergrande’s debt problems weighed on markets, but Federal Reserve chairman Jerome Powell helped boost confidence when he said the US economy has recovered sufficiently for the central bank to potentially announce the start of bond-purchase tapering at its next meeting. 

Investors will eye data on US durable goods orders for August, due at 8.30am ET on Monday, with economists expecting an increase, as business investment and consumer spending strengthens. 

Oil prices advanced as supply constraints around the world continued to have an impact and the rally in natural gas prices also continued, with Brent crude hitting its highest level since October 2018. 

Meanwhile, Bitcoin rose, recovering some ground lost after a steep decline prompted by the Chinese government outlawing cryptocurrency transactions.

Among equities, special-purpose acquisition company (SPAC) Gores Guggenheim surged after The Wall Street Journal reported that it was nearing a $21 billion deal to merge with Swedish electric-vehicle maker Polestar.